Wholesaling properties with Seller Financing without a contract

7 Replies

Hey Dayton Investors. I have a question about what I can and can't do to help another investor out. A friend of ours is selling off his entire Dayton portfolio of SFH, Multis, and Commercial property to take up residence permanently in Florida with his sick wife. He's asked my wife and I to help them sell off the property to investors and get it done as quick as possible. Our informal arrangement is that when we bring him the buyer, at closing he gives us a flat fee, regardless of the purchase price. We've done 1 so far with a buyer we know locally, however I'm not sure how to legally move all these properties in an efficient manner. As I understand it, we are not allowed to market these properties to strangers publicly (Craigslist, BP Marketplace, etc.) If my small pool of buyers doesn't buy them, how do I get them to people I don't already know? Thanks.

if this is not done by a licensee it is illegal. You would be violating the law by collecting a fee acting as an agent.

Originally posted by @John Thedford :

See 475.42 and 475.43

 I think this is in OHIO.. but regardless OHIO is very strict on selling RE without a license as well.

I think a work around for this person is to have the elderly man bring this person into his LLC if in fact the LLC owns the properties as a 20% owner.. LLC allows un even distributions.. so he gets a fee for each sale in the operating agreement it spells out his job and compensation.. I think that would probably fly.